Assume That Germany and China Can Produce Beer and Cloth

question 85

Multiple Choice

Assume that Germany and China can produce beer and cloth.If the
MPLc/MPLb for Germany is 2/5 and MPLc/MPLb for China is 1, then
Germany should:

• A)specialize in producing beer and export beer.
• B)specialize in producing cloth and export cloth.
• C)not specialize, because Germany will not benefit from it.
• D)specialize in producing cloth and import cloth.

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Definitions:

Paradigm Shift

A fundamental change in the approach or underlying assumptions of a particular field or discipline.

Flatter Organizational Structure

An organizational design with fewer levels of hierarchy, encouraging better communication and faster decision-making between upper management and employees.

Customer Service

The assistance and support provided by a company to the people who buy or use its products or services.

Flexibility

The ability of an individual or organization to adapt to changes or unforeseen circumstances quickly and efficiently.